TORONTO, ONTARIO -- (MARKET WIRE) -- 09/11/2006 -- Intrepid Mines Limited (TSX: IAU)(TSX: IXN)(ASX: IAU) reports it has received notification from CODELCO that it is proceeding to exercise its right of first refusal on the Jeronimo gold project in Chile. As a consequence, the Intrepid and BacTech Mining partnership will not proceed to acquire any interest in this project.

Intrepid continues to be opportunistic and is currently evaluating other projects to add to its portfolio. Intrepid's main focus at present is the expansion of the ore reserve at the operating Paulsens gold mine in Australia and completion of the feasibility study on the Casposo gold-silver project in San Juan Province, Argentina.

On behalf of the Board of Directors of Intrepid Mines,

Laurence Curtis, President & CEO

Intrepid Mines Limited has an international production, development and exploration profile, and holds interests in several gold-silver and silver-base metal properties in Australia, Argentina, El Salvador, and Canada, either directly or through joint venture partnership. The issued capital is 150,032,576 shares comprised of 118,581,968 ordinary shares of Intrepid Mines Limited quoted on the TSX:IAU and ASX:IAU and 31,450, 608 Exchangeable Shares of Intrepid NuStar Exchange Corporation quoted on the TSX:IXN.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION

This release contains certain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections. The TSX & ASX has neither approved nor disapproved the information contained in this press release. Except for statements of historical fact relating to the Corporation, certain information contained herein constitutes "forward-looking statements". Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other ecological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. Circumstances or management's estimates or opinions could change. The reader is cautioned not to place undue reliance on forward-looking statements.